The Relationship Analysis Between House Price And City Economic Development Level

With 20 years rapid development, real estate has become a pillar industry in national economy, not only played an important role in the continuously growth with high speed of the national economy, but also greatly improved people's house conditions and living standards. Because the real estate market in our country is not mature relatively, many problems expose gradually, such as over hot real estate investment, over quick growth of house prices, over high house price-income ratio and so on. A few cities have appeared such phenomenon that the growing speed of house price is not agree with city economic development growing level and not harmonious mutually with the income growing level of city residents. On one hand, the improvement of city economic development level speeds up the growing speed of house prices; on the other hand, if the house price growing speed is too quick, it will heavy the product and life cost, block the development of city economy and lastly reduce the competition of the city. The problem between house price and city economy has become an very important economic and society issue which attracts most people's attention.For inquiring into the relation between house price and city economic development level, promoting the harmonious development between real estate and city economy, building on the summary of the research results about house price and city economy, this article adopt the together way of theoretical analysis and substantial evidence analysis, inquired into the law between house price and city economic development, analyzed the positive connection between house price and city economic development.This article first introduced relative theories of house price and city economic development, afterwards analyzed the affecting mechanism and affecting effects between house price and city economic development. Then, after selecting the measuring indexes of house price level and city economic development level, based on the statistical data about the house selling price and city economy of 18 large and medium-size cities in our country, using the Microsoft Excel software and the SPSS statistics software, analyzed the relationship between house price and city economic development level. The result shows, Per capita disposable income of urban resident, some factors such as Urbanization level, Tertiary industry specific gravity, Engle coefficient and Resident consumer price exponent will influence the house price level, and the change of city economic development level greatly influences the house price level.The relationship between house price and city economic development level is a rather complex problem. Though this article carries on some research innovations in some aspects, it is only a preliminary trial. Statistics collected here and used here are limited in the sense of time span and area coverage, and therefore, the author believes that there is still great room for improvement in the approaches adopted and results achieved in the dissertation. To further related empirical studies, more efforts will be made on the part of the author.